Tech expert highlights importance of global cooperation amid new US chip controls

A Chinese professor on Tuesday highlighted the importance of global cooperation in the sci-tech sector after U.S. President Joe Biden unveiled sweeping new controls on artificial intelligence (AI) chip exports which some fear could hinder technological development.

Released just days before President-elect Donald Trump takes office, the policy would impose worldwide restrictions and licensing requirements on advanced computer chip exports for AI applications.

The new rules have set up three tiers, with preferences given to U.S. allies like the UK, Germany and Japan, limits on some nations which may be seen as solid U.S. trading partners like Israel and Mexico, while countries seen as the most adversarial to the U.S. face the strictest restrictions, including China.

Several U.S. tech firms and industry groups have condemned the policy shift, saying it could severely damage America's global competitiveness in AI technology and harm its tech market leadership.

Giving his assessment, Gai Keke, an associate professor at the School of Cyberspace Science and Technology under the Beijing Institute of Technology, underscored the critical role of global cooperation in addressing the complexities of emerging technologies such as AI.

"I think this may cause concerns about innovation cooperation, considering this policy shift, it could have an impact on international cooperation and even cooperation in other scientific and technology fields. At the same time, we also observe that from the perspective of technological development, accelerating investment in R and D and enhancing independent innovation capabilities are important aspects of solving technology restrictions," said Gai.

"Therefore, we need to continue investing in education, industrial upgrading and so on to mitigate the risks to technological developments brought about by changes in the international environment," he added.

Against the backdrop of rapidly evolving technology and rising geopolitical tensions, Gai called on countries around the world to take a balanced approach, noting that while it is important for them to bolster their own domestic capabilities to navigate an increasingly complex global landscape, they should also aim to foster greater collaboration to drive innovation.

"First, cooperation is crucial for promoting innovation and inclusion. For example, as an emerging technology, composite AI technology needs to integrate multiple special specialized AI models which [foster] cross-border collaboration. Second, cooperation is very important for building trust and avoiding divisions. We all know that intelligence brings both risks and opportunities to people. Effective cooperation is the basis for helping humans strengthen their ability to use technology and avoid differences. I also would like to say that cooperation generally is an effective way to solve complex problems," said Gai.

Tech expert highlights importance of global cooperation amid new US chip controls

The gold price fluctuated above 3,140 U.S. dollars per ounce on Thursday, after President Donald Trump's announcement of sweeping new tariffs against most U.S. trading partners.

The price of gold has jumped nearly 18 percent this year, as traders piled into the safe haven asset amid a steep decline in stock market futures.

Amid widespread opposition, U.S. President Donald Trump on Wednesday signed an executive order on the so-called "reciprocal tariffs," imposing a 10-percent "minimum baseline tariff" and higher rates on certain trading partners.

All imports would be subject to 10 percent additional tariffs, except as otherwise provided, the executive order said. This will take effect on April 5.

Trump will impose an "individualized reciprocal higher tariff" on the countries and regions with which the United States "has the largest trade deficits," according to a White House document. This will take effect on April 9.

Some goods will not be subject to the reciprocal tariff, including steel and aluminum, autos and auto parts already subject to Section 232 tariffs, copper, pharmaceuticals, semiconductors, and lumber, the White House noted.

For Canada and Mexico, United States-Mexico-Canada Agreement (USMCA) compliant goods will continue to see a 0 percent tariff, non-USMCA compliant goods will see a 25 percent tariff, and non-USMCA compliant energy and potash will see a 10 percent tariff, according to the White House.

In his speech at the White House Rose Garden, Trump presented a chart on "reciprocal tariffs." The chart shows that different countries and regions face different tariff rates.

For example, China will face a 34-percent tariff, the European Union 20 percent, Vietnam 46 percent, Japan 24 percent, India 26 percent, South Korea 25 percent, Thailand 36 percent, Switzerland 31 percent, Indonesia 32 percent, Malaysia 24 percent, and Cambodia 49 percent.

Gold price fluctuates after Trump tariffs announcement